The real estate industry has been experiencing a slowdown in major Indian cities like Delhi, Mumbai, and Bengaluru. From the rising number of unsold units to the slow increase in price of properties, things have been looking tough since 2018.
Developers have been trapped under the huge inventory of under-construction projects and are facing problems when it comes to focusing on individual projects, each of which have different price points. They are unable to attain a rounded approach to its low budget projects which are suffering a lack of pace for around a year. This poor performance is not only affecting their profits but other projects as well.
There are several challenges that affect the sales of the residential projects, both on a micro and macro level. On the former front, the principles of traditional marketing are just not cutting it for the developer, and channel partners are having a hard time being able to sell the project as ‘value for its price’. Also, because of the numerous projects that are all being managed at the same time by developers, the concerned ones are unable to garner the necessary attention from them.
On the macro level, one of the main factors that are affecting inventory sales is the large chunk of the cosmopolitan crowd who are not looking to invest in real estate, but rather looking for high quality rented properties. Also, the developer has lost the much needed connect with its home buyers, having no chance of interaction post their possession.
Hiring Loyalie as a marketing partner and deploying the RERA compliant ConnectRE platform to help open the referral sales channel can revive low-performing projects. The service involves establishing engagement with homebuyers through emailers, developer organized events, deals and discounts, and local area benefits.
This reinstalls the faith of the residents on the developer and opens the gateway of mutual understanding. The homebuyers finally feel connected and included in the whole process, something they have always been expecting. They can then refer their friends and family using the ConnectRE and earn cash rewards for every successful deal.
It also brings together all of the developer’s projects under the umbrella of the ConnectRE application where developers can directly track the number of referrals that customers are making on different projects and balance out the attention given to each of the projects through the engagement plans.
The constant communication between the home buyer and the developer through the ConnectRE program by Loyalie will revive the spirit of the projects and shed the spotlight on the ones that are not getting enough traction. The events become a talking point for the residents and that in turn helps the home buyer earn good PR among the friends and family of its customers.
This word of mouth also brings back the projects into conversations and that is definitely one of the principle benefits, considering that some of them were facing neglect from the developer. It also establishes the much needed connect between the home buyer and the developer thus opening the option for referral sales.
Referral e-mailers are sent out to residents, where they are asked to refer friends and family and earn cash rewards in the process. This speeds up referrals from the home buyers to the sales managers of the developers and soon spikes the unit sales!
The developers can revive their funding as the real estate projects and the renewed sense of inventory sales helps them make back the investment they had made during for each of the projects.